Investment Strategies

Euro credit

Corporate credits – with an investment grade rating

Objective

We aim to earn an attractive total return over the longer term while lowering the carbon footprint. We endorse the objectives of the Paris Climate Agreement and are committed to a CO₂ reduction pathway consistent with these aims. Our investments are primarily focused on euro-denominated corporate bonds with an investment grade rating of BBB- or above, prioritising companies that are dedicated to fostering an economy that values both people and the environment.

Philosophy

In our view:

the European investment-grade market is inefficient and contains mispricings which can be identified and traded;
an active investment and risk management approach is best placed to secure attractive yields for investors, as well as create and preserve additional value by capitalising on these mispricings; and
companies that have demonstrably aligned their activities with responsible growth are likely to be more resilient in the long term and are therefore more attractive to credit investors.

Approach

Our experienced team follows a systematic process that blends quantitative and qualitive expertise and experience and seeks to:

identify corporate issuers where the potential for credit profile enhancement is not yet reflected in the spreads and avoid those where we anticipate credit deterioration;
apply an active top-down and bottom-up approach to macro and fundamentals analysis to construct and risk manage a diversified portfolio of credits; and
focus on a sub-set of issuers demonstrably aligned with the transition to a more future-proof economy.

Strategy overview

Meet our experts

Alain van der Heijden

a.vanderheijden@vanlanschotkempen.com

Joost de Graaf

joost.degraaf@vanlanschotkempen.com

Meet the rest of our team

Not who you're looking for? Visit our contact page to explore our full team directory.

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Fund library

Please visit our fund library for detailed information on our funds. For more sustainability-related information, please refer to the sustainability-related information section of the fund library

Go to fund library

Van Lanschot Kempen Investment Management (UK) Limited is registered in England & Wales with registration number 02833264. Registered office at 20 Gracechurch Street, London, EC3V 0BG Tel: +44 (0)20 3636 9400. Van Lanschot Kempen Investment Management (UK) Ltd, is authorised and regulated by the Financial Conduct Authority (FCA) with reference number 166063.

There’s a saying in Dutch, Kom verder, it means many things and it’s our business philosophy. It captures the way we work with clients but also the way we steer our investee companies to deliver shareholder value through active engagement.

Capital at risk. The value of investments and the income from them can fall as well as rise, and investors may not get back the amount originally invested. Past performance provides no guarantee for the future.